Question : What were the main factors that led to the cessation of Penicillin-G production in India in the 1990s, and how did the influx of cheaper alternatives, primarily from China, contribute to this decline?
Or
Question : How did supply chain disruptions and China’s dominance in Penicillin-G production during recent times, especially highlighted by the COVID-19 pandemic, influence India’s decision to resume domestic production?
GS-2 Health : GS Penicillin Production in India
India to Resume Penicillin-G Production:
- After 30 years, India restarts domestic production of Penicillin-G, an antibiotic.
- Penicillin-G treats infections but is administered via injection due to poor absorption.
Why Production Stopped?
- 1990s: Cheaper alternatives (mainly from China) flooded the market.
- Recent supply chain disruptions and China’s low production highlighted the need for domestic production.
- COVID-19 pandemic exposed India’s dependence on imported APIs (Active Pharmaceutical Ingredients).
Challenges of Penicillin-G Production:
- Complex and expensive fermentation process discourages domestic production.
- Government’s “Make in India” initiative initially faced hurdles.
Why Resume Production Now?
- India has high rates of rheumatic fever requiring penicillin treatment.
- Broad-spectrum substitutes harm essential gut bacteria.
Government’s Production Linked Incentive (PLI) Scheme:
- Offers financial support to companies producing Penicillin-G and other essential drugs.
- Aims to reduce dependence on imported APIs.
- Balancing affordability and long-term sustainability remains a challenge.
Conclusion:
- Resuming Penicillin-G production is a positive step towards self-reliance in bulk drugs.
- Ensuring affordability and long-term sustainability are crucial for success.
Question : What were the updated poverty lines according to the SBI report for rural and urban areas in 2022-23, and how did they compare to previous figures?
Or
Question : What were the notable changes in rural and urban poverty rates from 2011-12 to 2022-23 according to the HCES, and how do they differ when using the Tendulkar and Rangarajan poverty lines?
GS-3 Mains : Economy : Summary of Household Consumption Expenditure Survey (HCES), 2022-23 Insights:
- Trends in Poverty:
- SBI report updates poverty lines: Rs 1,622 rural, Rs 1,929 urban.
- Rural poverty down from 25.7% (2011-12) to 7.2% (2022-23); urban down from 13.7% to 4.6%.
- Poverty ratio: Tendulkar (6.3%), Rangarajan (10.8%).
- HCES changes: item coverage, questionnaire, data collection method.
- NSSO, NAS difference: widened over time, implications for poverty ratio.
- Difference between NSSO and NAS:
- NSSO, NAS aggregate private consumption expenditure difference widening.
- Implications for poverty ratio computation.
- NSSO Advisory Group analysis needed.
- Consumption Patterns & CPI Implications:
- Rural food share decline: 52.9% (2011-12) to 46.4% (2022-23); urban from 42.6% to 39.2%.
- Cereals share decline: rural (10.8% to 4.9%), urban (6.7% to 3.6%).
- Increase: fruits, beverages, processed food; decrease: vegetables.
- Non-food items increase: toiletries, household items, conveyance, durable goods.
- CPI basket weight adjustments needed based on new consumption patterns.
- Food share decline positive, but impact on inflation questioned.
- Monetary policy implications: new price index consideration.
Conclusion:
- New consumption survey necessitates new indices.
- Fresh poverty estimates due to survey insights.
- Inflation and monetary policy affected by consumption changes.
Key Observations:
- Poverty decline significant, but methodology differences impact ratios.
- NSSO, NAS difference widening, warrants deep analysis.
- Consumption pattern shifts prompt CPI weight adjustments.
- Food share decline may temper inflation, but impact uncertain.
- Monetary policy committee to consider new price index for policy decisions.
Implications:
- Policy adjustments required for accurate poverty estimation.
- Improved data collection methodologies crucial for reliable statistics.
- CPI revisions essential for effective inflation management.
- Monetary policy formulation to accommodate changing consumption patterns.
Note: The summary encapsulates key findings and implications from the HCES 2022-23, addressing poverty trends, NSSO-NAS disparities, consumption pattern shifts, and CPI implications.